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Fellow Insurance Workers,

I keep hearing in the news about the Flood funding and keeping it solvent. I was wondering if anyone else thinks the way I do...

Currently, the Flood fund is paid for by policyholders AND subsidized by everyone else. My question is, if states can pool auto, home, and business, whereby rates cover losses, why can't we do that with Flood???

Why are rates subsidized??? Its stupidity at the highest level in my opinion.

Also, why are people allowed to collect from the Fund who are not policyholders??? Stupidity!

Raise rates and make the Fund operate as a real company would have to. If people can't afford the insurance, they won't build in flood plains, because they can't get mortgages...AS IT SHOULD BE!

mica.cooper wrote:Fellow Insurance Workers,

I keep hearing in the news about the Flood funding and keeping it solvent. I was wondering if anyone else thinks the way I do...

Currently, the Flood fund is paid for by policyholders AND subsidized by everyone else. My question is, if states can pool auto, home, and business, whereby rates cover losses, why can't we do that with Flood???

Why are rates subsidized??? Its stupidity at the highest level in my opinion.

Also, why are people allowed to collect from the Fund who are not policyholders??? Stupidity!

Raise rates and make the Fund operate as a real company would have to. If people can't afford the insurance, they won't build in flood plains, because they can't get mortgages...AS IT SHOULD BE!

One thing that you are overlooking is that Flood insurance program and the Flood fund are both organized, controlled and administered by the Federal Government. Remember the problem in keeping the program going because it kept being attached to bills and only getting temporary extensions rather than long term.

Your not dealing with an insurance company even though it serviced is by "Write Your Own" carriers. On the second highlighted point congress wants votes.

Ok but...,

Why is the Fund not fully funded by policyholders? Why are they robbing the MAJORITY of voters for a minority?

It seems to me, that this is a better vehicle for states to come together and facilitate rather than the feds. The states should form a pool and pay in as a regular pool.